Xero vs Wave
By Itai Varochik | Updated 2026
Quick Verdict
Overall Winner: Xero (4.5/5)
We tested Xero and Wave side-by-side. Xero comes out ahead overall, but Wave may be better for specific use cases.
Score Breakdown
| Criteria | Xero | Wave |
|---|---|---|
| Features | 8.5/10 | 7.5/10 |
| Ease of Use | 8.5/10 | 8.5/10 |
| Value for Money | 7.5/10 | 10/10 |
| Customer Support | 7/10 | 6/10 |
| Overall | 8/10 | 8/10 |
Feature Comparison
| Feature | Xero | Wave |
|---|---|---|
| Invoicing | Yes | Yes |
| Bank Feeds | Yes | No |
| Multi-Currency | Yes | No |
| Reporting | Yes | No |
| Unlimited Users | Yes | No |
| Free Accounting | No | Yes |
| Receipt Scanning | No | Yes |
Pricing Comparison
Xero: From $15/mo
Wave: Free (core features)
Xero Pros & Cons
Pros
- Unlimited users on all plans
- Beautiful, intuitive interface
- 21,000+ bank feed integrations
- 1,000+ app marketplace integrations
- Strong multi-currency support
- Popular with accountants globally
Cons
- Limited inventory management
- No built-in payroll in all regions
- Starter plan limited to 20 invoices/month
- US market share smaller than QuickBooks
- Phone support not available on all plans
Wave Pros & Cons
Pros
- Completely free accounting
- Free invoicing
- Receipt scanning
- Easy to use
Cons
- Limited reporting
- No inventory tracking
- Fewer integrations
- Payroll costs extra
Key Specifications
| Spec | Xero | Wave |
|---|---|---|
| Rating | 4.5/5 | 4.2/5 |
| Pricing | From $15/mo | Free (core features) |
| Year Founded | 2006 | 2010 |
| Headquarters | Wellington, New Zealand | Toronto, Canada |
| Employees | 4,500+ | N/A |
| Multi-Currency | Yes (160+) | N/A |
| Users Included | Unlimited | N/A |
| Best For Region | Global | N/A |
Our Verdict
Xero wins overall. Choose Xero if you value Small businesses with multiple team members. Choose Wave if you prioritize Freelancers.
Frequently Asked Questions
Is Xero better than Wave?
Based on our testing, Xero scores higher with a rating of 4.5/5 compared to Wave's 4.2/5. However, the best choice depends on your specific needs.
What is the main difference between Xero and Wave?
Xero is known for: Cloud accounting software with beautiful design and multi-currency support.. Wave is known for: Free accounting and invoicing software for small businesses and freelancers..
Which is cheaper, Xero or Wave?
Xero pricing: From $15/mo. Wave pricing: Free (core features).
Can I use Xero and Wave together?
While both tools serve similar purposes in the Accounting Software category, some users do use complementary features from both platforms.
What are the pros of Xero?
Unlimited users on all plans. Beautiful, intuitive interface. 21,000+ bank feed integrations
What are the pros of Wave?
Completely free accounting. Free invoicing. Receipt scanning
Which accounting software should I choose?
Choose Xero if you value Small businesses with multiple team members. Choose Wave if you prioritize Freelancers.